BAJAJ STEEL INDUSTRIES LTD S/RSupport and Resistance Levels:
Support Levels: These are price points (green line/shade) where a downward trend may be halted due to a concentration of buying interest. Imagine them as a safety net where buyers step in, preventing further decline.
Resistance Levels: Conversely, resistance levels (red line/shade) are where upward trends might stall due to increased selling interest. They act like a ceiling where sellers come in to push prices down.
Breakouts:
Bullish Breakout: When the price moves above resistance, it often indicates strong buying interest and the potential for a continued uptrend. Traders may view this as a signal to buy or hold.
Bearish Breakout: When the price falls below support, it can signal strong selling interest and the potential for a continued downtrend. Traders might see this as a cue to sell or avoid buying.
20 EMA (Exponential Moving Average):
Above 20 EMA(50 EMA): If the stock price is above the 20 EMA, it suggests a potential uptrend or bullish momentum.
Below 20 EMA: If the stock price is below the 20 EMA, it indicates a potential downtrend or bearish momentum.
Trendline: A trendline is a straight line drawn on a chart to represent the general direction of a data point set.
Uptrend Line: Drawn by connecting the lows in an upward trend. Indicates that the price is moving higher over time. Acts as a support level, where prices tend to bounce upward.
Downtrend Line: Drawn by connecting the highs in a downward trend. Indicates that the price is moving lower over time. It acts as a resistance level, where prices tend to drop.
RSI: RSI readings greater than the 70 level are overbought territory, and RSI readings lower than the 30 level are considered oversold territory.
Combining RSI with Support and Resistance:
Support Level: This is a price level where a stock tends to find buying interest, preventing it from falling further. If RSI is showing an oversold condition (below 30) and the price is near or at a strong support level, it could be a good buy signal.
Resistance Level: This is a price level where a stock tends to find selling interest, preventing it from rising further. If RSI is showing an overbought condition (above 70) and the price is near or at a strong resistance level, it could be a signal to sell or short the asset.
Disclaimer:
I am not a SEBI registered. The information provided here is for learning purposes only and should not be interpreted as financial advice. Consider the broader market context and consult with a qualified financial advisor before making investment decisions.
BAJAJST trade ideas
Bajaj Steel hidden gem ?Good Fundamentals. Good cup and handle Pattern.
Bajaj Steel Industries Ltd manufactures cotton ginning and pressing machinery, pre-fabricated building structures, components and allied products. It is also engaged in the manufacturing of masterbatches under its plastic division.
Good and diversified product portfolio.
I think it's a hidden gem that will give you a good return in future.
Bajaj Steel Industries LtdTARGET MENTIONED IN CHART
STOP LOSS - 1000
FUNDAMENTALS
Market Cap
₹ 664 Cr.
Current Price
₹ 1,277
High / Low
₹ 1,399 / 830
Stock P/E
10.7
Book Value
₹ 572
Dividend Yield
0.23 %
ROCE
30.7 %
ROE
24.8 %
Face Value
₹ 5.00
Promoter holding
47.8 %
EPS last year
₹ 130
EPS latest quarter
₹ 32.7
Debt
₹ 32.2 Cr.
Pledged percentage
0.00 %
Net CF
₹ -47.5 Cr.
Price to Cash Flow
25.0
Free Cash Flow
₹ -12.4 Cr.
Debt to equity
0.11
OPM last year
17.1 %
OPM 5Year
13.4 %
Reserves
₹ 295 Cr.
Price to book value
2.23
Int Coverage
16.4
PEG Ratio
0.27
Price to Sales
1.24
Sales growth 3Years
8.76 %
Return on assets
14.2 %